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  A study on positive relationship between age and entrepreneurship

Researcher is interested in entrepreneurship as well as in the reduction of youth unemployment. Only few have examined the association between age and entrepreneurship activities. Some previous studies have explained the negative impact of the entrepreneurship, the positive impact of the age of entrepreneurship, using cross sectional study still need to discuss. We can develop a test model in which we can develop and test a model in which with passage of time perceived opportunities and skills increased which in turn increase entrepreneurship activities.which explains the relationship of age and entrepreneurship activities. Here perceived opportunities and perceived skills play as mediating role between age and entrepreneurship activities.

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Research background

 

Entrepreneurship is defined as the discovery,
evaluation, exploitation of opportunities to create new and useful products and
services. (Shane and Venkataraman, 2000). Researchers have suggested that the relationship
between age and entrepreneurship is negative (Lévesque and Minniti, 2006). Process is still underlying and unknown, with age
related characteristics. Here we will contribute to this study by adopting a
lifespan perspective to investigate the positive role age over entrepreneurial
activity using data of Global Entrepreneurship Monitor (GEM) 2013.

 

According to the lifespan perspective (Baltes 1987). Development is
a lifelong process characterized by both gains and losses in psychological
characteristics. As we know when people get older, some abilities such as
physical strength decline while other abilities such as intelligence, knowledge
and skills increase with passage of time. Moreover, at higher ages people
usually accumulate higher human capital, which compensates for reduced physical
abilities. As an individual indulge himself in business long time he / she
automatically gets more new perceived opportunities and skills for business
expansion.

 

Perception of own skills related to self efficacy which further describes an individual’s belief to be capable of performing given tasks (gist 1987). As a self-efficacy builds on an individual’s assessment of own resources (Aizen.1987; Gist and Mitchell, 1992), it also associated with beliefs about goal-attainment. These beliefs in turn perform the rule in development of intentions and action (Boyed and vozikis, 1994) .Moreover only if individuals believe in having the necessary skills to attain will act upon it (Bandura, 1991). I have been more interested in the person who has been dealing with the business for long time as he has more intelligence, business relationships and links. This focuses on business opportunity identification (Shane and Venkataraman, 2000), it is slightly different from the concept “focus on opportunities” from the lifespan literature (Zacher et al., 2010). Previous study has demonstrated the importance of self efficacy, and the perception of skills, for entrepreneurial intention (e.g., Boyd and Vozikis, 1994; Chen et al., 1998; Zhao et al., 2005; Wilson et al., 2007). In a study by Chen et al. (1998) for example, an individual confidence in the ability to master entrepreneurial roles and tasks related positively to startup intentions. Similarly (Zhao et al., 2005) he says, that the desire to become a good entrepreneur is grounded in high entrepreneurial self-efficacy.

 

Research question

How the age positively
relate with entrepreneurship activities? or

How the entrepreneurship activities increase the perceived opportunities
and perceived skills with age?

Definition of key concept

Entrepreneurial activity increases perceived opportunities (ie because people are in the entrepreneurial mindset once they are engaged in entrepreneurship and therefore constantly perceived new opportunities) and perceived skills (ie because of performance and handling of business over long time efficacy perceptions). As with age intelligence and leadership abilities increase according to theories of leadership development literature and lifespan psychology literature and entrepreneurship

 

Methodology

The GEM is a global,
standardized survey study. In 2013, it was administered to a representative
sample of aged 16–98 (M = 40.55, SD = 14.19) in each participating country (N =
70), yielding a cross-country total of 244471 participants. In each country,
data collection was completed by professional firms which were supervised by an
academic or research institution. The project is coordinated by the Global
Entrepreneurship Research Association (GERA), which monitors the data
collection and secures standardization and international comparability of the
data collection. The GEM data is frequently used in academic research, as it
provides a “major database for internationally comparative entrepreneurship. (Bergmann, H.
Mueller, S., and Schrettle, T. (2014).)

Data

Secondary source of
data, 2013 Global Entrepreneurship Monitor (GEM), Data for
this study is based on Global Entrepreneurship Monitor (GEM) from 2013, as it
is the most recent publicly available dataset which is most likely to reflect
current developments in entrepreneurship. The GEM is a global, standardized
survey study

Objective

Our objective is to
prove the positive impact of age our entrepreneurship activities, where
perceived opportunities and perceived skills playing as mediating role between
age and entrepreneurship activities 

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